Euro (EUR) derived further after reaching> 3 years over 1.1570 levels last week. De -escalation in pricing anxiety has somewhat slowed down the decline of the USD and helped moderate the rhythm of the rally in EUR. EUR was last seen at 1.1390 levels, OCBC FX analysts, Frances Cheung and Christopher Wong, note.
2 -way transactions are likely
“To add, the Rhetoric of the ECB has also become more dominant. The Villeroy of the ECB has said that the risks of inflation seem to have decreased, and that the ECB can respond quickly to the new data. Rehn said that it saw the risks down. It also declared that the ECB should not exclude more significant interest rate reductions.
“The chief economist of the ECB, Lane, said that there was no reason to say that a move of 25 bp is always the default, although it would predetermine in any way. About the next developments is low and too much to cut the waste of political space.”
“The daily momentum is stable while the recent drop in RSI has shown provisional slowdown signs. Two -lane transactions are probably monitoring the signs of escape / rejection panels. Resistance to 1.1490, 1.1570 (recent levels). 1.1280, 1.1200 / 35 (21 DMA, 23.6% FIB High) before 1.11, 1.1030 levels (38.2% FIBO).
